Auto Insurance Valuation



I am having difficulty getting an solid answer from USAA (Policy Service and Claims) regarding what would I be paid by USAA in the event of a total loss of an auto.  Generally when I call, Policy Service refers me to Claims and then Claims refers me to Policy service. When I further the conversation I have received a few different general responses from different calls to USAA which I will share.


1 - For newer (year undefined) cars you receive "replacement value".  When asked what I would receive for one of my vehicles they said they had no ability to tell me and referred me to KBB of NADA.  For older (year undefined) cars it will never be more than you paid.  (This is an issue for vehicles that appreciate)


I called again:

2 - For all cars it is a deprecation  amount for each year stating from the original purchase prices.  (They could not tell me the deprecation amount or rate) .  We used and example of one of my cars, a 2000 Toyota 4runner SR5 4x4, original price $27,000, which I bought used.  For that vehicle, they said that after 21 years in a total loss my payout would be very minimal (I suggested they were referring to $1000 and they would not commit).  They current market value of this vehicle is about $10,000.

Why am I paying for insurance collision and comprehensive in this case.


I called again:

3 - For cars 1990 or newer (that have a VIN that is recognized by their "system") you get replacement value minus deprecation.  (Effectively a combination of 1 & 2 above).  Could not be told value or what the deprecation amounts/factors are but referred to KBB/NADA....)  This an odd response because deprecation of a vehicle is already in a NADA guide or KBB, they show the price of a depreciated auto.  For 1989 or older it is the original selling price or the price you paid, they were not sure and  went to check and I was disconnected.


I was referred to classic car insurance several times  because I was told "it is the only way to receive the full value of your vehicle".

This may be true for some vehicles (older, highly customized...), but certainly can not be the case for all vehicles.


I am baffled that USAA can not tell me (or maybe doesn't want people to know) what I would be paid (within a one or two thousand) dollars in the event of a total loss of a vehicle.


I am not too concerned about my newer vehicles (2021 and 2014), but I am very concerned about the payout on my 2000, 1990 vehicles which have a high replacement value in the KBB/NADA guides.


I have never experienced a "total loss" so I have no reference point.


I'd appreciate your input or if you know some at USAA who I can talk to.  

If this is in a USAA document, please point me to this.


Thank you.


Please sign-in to reply


Thank you for your membership @Brossasco and allowing USAA to be your provider of choice when it comes to protecting your vehicles.  We certainly get your questions about coverages and how they protect your autos in case of a loss.  We do appreciate your continued patience as I have forwarded your experience to the appropriate team for further review and addressing.  ~Marco